Today, 9:12 AM
Today, 8:42 AM
- Kate Spade (NYSE:KATE) issues preliminary results for full-year 2014.
- A sales pop of over 40% to $1.13B-$1.14b expected.
- Adjusted EBITDA of $145M-$150M forecast.
- 2015 guidance: Net sales in a range of $1.2B-$1.275B; direct comp sales growth in high single digits; adjusted EBITDA of $185M-$200M.
- Brand reset: The company says it will roll the Kate Spade Saturday brand into Kate Spade New York and give new marching orders to Jack Spade.
- Previously: Kate Spade sets strategy in China
- KATE +7.6% to $32.07 premarket.
Today, 8:33 AM
- Kate Spade (NYSE:KATE) strikes a deal with The Lane Crawford Joyce Group to help strengthen the presence of its brand in Greater China.
- The company also acquired a 60% interest in KS China through its partnership with E-Land Fashion for a payment of $36M.
- Through some efforts to consolidate operations in the region, the businesses in the China will be run under Kate Spade China with Walton Brown (The Lane Crawford Joyce Group property) holding an equal partnership interest.
Tue, Jan. 27, 3:42 PM
- Apparel retailers and manufacturers could see lower costs this year as a strong dollar goes a long way toward lowering manufacturing and purchasing expenses overseas.
- Companies which manufacture overseas or buy from global suppliers to sell largely in the U.S. are in the best position to boost their bottom lines.
- Cotton prices have also moved in the right direction for the sector.
- Another factor is the much cleaner inventory position many apparel retailers and department store chains find themselves in heading into the spring selling season.
- Apparel stocks: KATE, ANN, LULU, PVH, VNCE, CRI, UA, HBI, VFC, COLM, GIL, SQBG, JCP, KSS, DDS, M, JWN, ARO, AEO, ANF, WTSL, TLYS, CACH, ZUMZ, PSUN, EXPR, BKE, GIII, SQBG, HBI, VRA, ICON, SHOO, BWS, PERY, DXLG, BONT, GES, URBN.
Fri, Jan. 23, 7:37 AM
Wed, Jan. 21, 9:59 AM| 5 Comments
Fri, Jan. 9, 11:04 AM
- Another tough day for luxury retail stocks as more concerns on pricing trends build up.
- Consulting firm Bain isn't helping sentiment, noting the luxury sector in China showed negative growth (-1%) for the first time in 2014. An ongoing crackdown by Beijing on corruption is in the background.
- Michael Kors (KORS -1.7%), Ralph Lauren (RL -2%), Kate Spade (KATE -3.2%), Fossil (FOSL -1%), Vera Bradley (VRA -2%), and Coach (COH -2.2%) are all under-performing market averages.
- Related stocks: OTCPK:LVMUY, OTC:GUCG, OTCPK:SWGAY, OTCPK:BURBY, EL, RDEN, OTCPK:HESAF, OTCPK:CFRUY, TIF.
- Related ETFs: PEJ.
Thu, Jan. 8, 7:40 AM
- BMO Capital downgrades Kate Spade (NYSE:KATE) to Market Perform from Outperform.
- The investment firm reduces the price target on the retailer to $32 from $48.
- Concerns about promotional activity in the premium department store channel have cropped up this week.
- Previously: Kate Spade taken lower on sector news (Jan. 06 2015)
Tue, Jan. 6, 9:52 AM
- Kate Spade (KATE -3.3%) trades lower on a day with a healthy dose of handbag news.
- Coach made a diversification play with an acquisition of luxury shoe brand Stuart Weitzman.
- The development could position Coach to compete more directly with Kate.
- Also of note for KS investors, a channel check on Michael Kors showed a high level of promotional activity.
Mon, Jan. 5, 7:38 AM
- A slowdown at West Coast ports continues to impact the retail sector as negotiations between dockworkers and shippers progresses slowly.
- Fast-fashion firms (OTCPK:HMRZF, OTCPK:FRCOY, OTCPK:IDEXY) and apparel sellers (LULU, ANN, GPS, KATE, ANF) are most at risk notes, Cowen Research.
- Inventory dislocation in the sector could boost TJX Companies (NYSE:TJX) and Ross Stores (NASDAQ:ROST).
Dec. 23, 2014, 2:59 PM
- The strong reads on consumer spending (ICSC, Redbook) bode well for Q4 earnings in the retail sector, note analysts.
- Electronics sellers (BBY, HGG) and the luxury sector (RL, TIF, COH, KORS, KATE, FOSL, VRA) are viewed as being in a good position to see a December boost.
- Companies which eased off on pulling a bulk of their sales forward with Black Friday/Cyber Monday deals are also seen as potential winners with sub-$2 gas resetting some holiday budgets.
- Though e-commerce is expected to dazzle again this holiday season. It's not all fun and games for analysts looking at margins. The extension by Amazon (AMZN -0.1%) of its free shipping offer could be a signal that inventory levels are higher than anticipated and that the growth-at-all-costs mentality at the company is as entrenched as ever, notes Nasdaq Advisory Services.
- The S&P Retail ETF (NYSEARCA:XRT) has doubled up the return of the S&P 500 over the last 3 months, 10.8% vs. 5.1%.
- Previously: Retail trends to watch: Athleisure, P-E buyouts, and new online channels (Dec. 20 2014)
- Related ETFs: XLP, XLY, VDC,VCR, RTH, RETL, FXG, PBJ, IYK, PEJ, FXD, IYC, FDIS, RHS, SCC, FSTA, UCC, PMR, PSL, UGE, RCD, PEZ, PSCC, PSCD, SZK
Dec. 18, 2014, 7:01 AM
- Apparel prices fell 1.1% in the U.S. during November, according to yesterday's CPI report.
- The drop followed a 0.2% slide in apparel prices for October.
- Retail analysts note that a higher mix of e-commerce sales and the lingering promotional haze threaten margin expansion in the sector, despite overall tighter inventory control.
- Apparel stocks: KATE, ANN, LULU, PVH, VNCE, CRI, UA, HBI, VFC, COLM, GIL, SQBG, JCP, KSS, DDS, M, JWN, RL, ARO, AEO, ANF, WTSL, TLYS, CACH, ZUMZ, PSUN, EXPR, BKE, KORS, UA, GIII, SQBG, HBI, SKX, FL, VRA, ICON, NKE, WWW, DECK, CROX, SHOO, BWS, PERY, DXLG, SHLD, BONT, GPS, GES, URBN.
Dec. 4, 2014, 10:31 AM
- Shares of Destination Maternity (DEST -7.8%) slide after the company misses earnings estimates.
- A frank assessment from the company on a misfire with its assortment to millennial-aged moms-to-be strikes a bit of a chord across the apparel and department store sector.
- Many of the earnings hits and misses this quarter have been tied to on-trend or off-trend assortments. A millennial group which is hard to nail down is becoming a bigger part of that puzzle.
- Apparel stocks: KATE, ANN, LULU, RL, PVH, VNCE, CRI, UA, HBI, VFC, COLM, KORS, GIL, SQBG, JCP, KSS, DDS, M, JWN, RL, ARO, AEO, ANF, WTSL, TLYS, CACH, ZUMZ, PSUN, EXPR, BKE, KORS, UA, GIII, SQBG, HBI, SKX, FL, VRA, ICON, NKE, WWW, DECK, CROX, SHOO, BWS, PERY, DXLG, SHLD, BONT, GPS, GES, URBN, TJX.
Dec. 1, 2014, 7:50 AM
- Comscore estimates e-commerce spending rose 32% on Thanksgiving Day to $1.01B and 26% on Black Friday to $1.51B.
- Most retail analysts are sticking with their forecast for 4.0%-4.5% growth for holiday sales this year, with early shopping and e-commerce making up for a dip in store traffic on Black Friday.
- Apparel sellers in particular came out with a stronger online push this year.
- Related stocks: OTCPK:AMZZ, EBAY, AEO, ANF, JCP, JNY, JWN, KSS, LB, M, URBN, PSUN, BKE, WTSL, GPS, FDX, UPS, DKS, BBY, LULU, KATE, VRA, SPLS.
Nov. 24, 2014, 11:15 AM
Nov. 12, 2014, 11:18 AM
- Macy's (NYSE:M) management was cautious on today's earnings call as the drop in Q4 and full-year EPS guidance was justified.
- A lull in sales after the Back-to-School season has bled into the early part of Q4.
- Omnichannel execution is better this year, says Macy's CFO Karen Hoguet. Capital spending on omnichannel could help the company's bottom line down the road.
- A major new private brand will be launched next year aimed at Latino customers.
- Kate Spade (NYSE:KATE) made an appearance during the earnings call. Hoguet says the Kate channel should be a driver for sales this holiday due its on-trend assortment.
- The impact from the West Coast ports labor turmoil appears to be limited with Macy's saying most deliveries are on target with their anticipated delivery dates.
- Earnings call webcast
KATE vs. ETF Alternatives
Kate Spade & Co, formerly Fifth & Pacific Companies, Inc., designs and markets accessories and apparel under three global, multichannel lifestyle brands: kate spade new york, Kate Spade Saturday and Jack Spade.
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